"The American Land Title Association (ALTA) is celebrating the news, claiming that it reinforces its warning that AOLs are a fragile and inferior alternative to title insurance and that the letters are inferior products (that) don't reduce risk. For lenders who adopted AOL programs, the filing raises immediate questions about continuity, liability, and counterparty risk, ALTA wrote in a press release about the news."
"According to Voxtur's filing, as of March 31, 2025, the company had approximately $44.5 million in assets and liabilities of $77.7 million. Voxtur recorded operating losses of $54.3 million in 2023 and $73.6 million in 2024. The filing also showed multiple lawsuits filed against Voxtur entities and former executives, along with other disputes with lenders and investors."
"In ALTA's view, the breadth of litigation underscores the operational and financial strain facing the company prior to its insolvency filing. In addition to the lawsuits and financial losses, Voxtur's creditor matrix lists hundreds of creditors including national title insurers, real estate data providers, software vendors, financial institutions and professional services firms."
Voxtur filed for insolvency after reporting approximately $44.5 million in assets and $77.7 million in liabilities as of March 31, 2025. The company recorded operating losses of $54.3 million in 2023 and $73.6 million in 2024. The filing disclosed multiple lawsuits against Voxtur entities and former executives and other disputes with lenders and investors. The creditor matrix lists hundreds of creditors, including national title insurers, real estate data providers, software vendors, financial institutions, and professional services firms. The American Land Title Association characterized the filing as evidence that AOLs are fragile and inferior to title insurance and warned of continuity, liability, and counterparty risks for lenders and regulators.
Read at www.housingwire.com
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